"S&P 500 futures are on the run as Advanced Micro Devices leads the tech pivot higher. Last checked, the S&P 500 is up about 24 points. The SPDR S&P 500 ETF ( SPY) is up about $2.35. Dow futures are up 105, with the tech-heavy Nasdaq up about 152. Again, that's thanks to AMD, which is up about $14, or 6% in premarket. All after CEO Lisa Su said AMD could achieve "double-digit" share of the data center AI market over the next three to five years. Right now, that market is dominated by Nvidia, which holds about 90% of that market."
"Fueling momentum, Wells Fargo just hiked its AMD price target to $345 with an overweight rating. That's thanks to AMD gaining market share and the CEO's prediction for compound annual revenue growth of about 35%, as well as insatiable demand for AI chips. In addition, she said AMD's data center business is expected to grow at around 80% per year, and is on track to hit billions of dollars of sales by 2027. By 2030, AMD expects AMD data center revenue to hit $1 trillion per year."
"After pulling back, Nvidia (NASDAQ: NVDA) is regaining momentum ahead of earnings. This morning, TD Cowen reiterated its buy rating on the tech giant on the likely strength of the Blackwell Ultra uplift. Plus, Citi reiterated a buy rating on the stock, with a price target of $220 from $210. The firm expects NVDA to post sales of $56.8 billion, as compared to analyst expectations for $54.6 billion. Analysts at Bank of America just reiterated a buy rating on Nvidia. The firm says NVDA is well-positioned for healthcare and artificial intelligence. "Nvidia, a leader in accelerated computing, has broadened its reach into high-compute healthcare workloads and continues to engage in partnerships on the application side," they said, as quoted by CNBC."
S&P 500 futures climbed as Advanced Micro Devices led a tech-driven rally, lifting major indices and ETFs. AMD rose about 6% premarket after CEO Lisa Su predicted a double-digit share of the data-center AI market within three to five years, a market currently dominated by Nvidia at roughly 90%. Wells Fargo raised AMD's price target to $345, citing market-share gains, a projected compound annual revenue growth near 35%, and strong AI chip demand. AMD expects data-center growth around 80% annually, billions in sales by 2027, and $1 trillion per year by 2030. Nvidia regained momentum with buy reiterations and lofty revenue expectations ahead of earnings.
Read at 24/7 Wall St.
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